NZDUSD ANALYSIS
It seems that we are approaching the end of a Triangle formation (in Minute and Minuette Periods) and getting ready for a huge Impulse to the down side (SHORT) ???
With this trade, I've prepared 3x positions to be executed only at particular areas, as follows:
Positions 1&2: At the 0.50 Fibo of the current spike (from Yellen's speech), and I'm assuming that a wave (d) on the Minute Period, will hit the bottom of the triangle for the last leg of correction wave (e). IF Moving Average shows a break out of the MA channel and the price action reaches the Fibo area, the trade will become active.
Position 3: At the second box where a confirmed breakout of the Triangle has resulted, after the initial Fibo has been completed.
The above strategy is formed so that if I have miscounted the waves, I will be inside the trade, AFTER a breakout, or if I have counted the waves correctly, then the final part of the correction must be completed before a breakout occurs, and I'm assuming it will be a big one.
The risk to reward ratio, is quite small, considering that I'm 99% certain that we have a triangle forming and a SHORT setup for an impulse count is about to start.
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(Note that if the price point does not reach the boxed/fibo area, the trade will not be activated.)
I don't provide a signaling service or suggest you trade these trades with me, I'm just sharing my ideas and hope that people may benefit from these ideas in some way. I've added a checklist to the top of the chart as this is my way of keeping with my trading plan. Please remember the golden rule. 'When in doubt - stay out'.
It seems that we are approaching the end of a Triangle formation (in Minute and Minuette Periods) and getting ready for a huge Impulse to the down side (SHORT) ???
With this trade, I've prepared 3x positions to be executed only at particular areas, as follows:
Positions 1&2: At the 0.50 Fibo of the current spike (from Yellen's speech), and I'm assuming that a wave (d) on the Minute Period, will hit the bottom of the triangle for the last leg of correction wave (e). IF Moving Average shows a break out of the MA channel and the price action reaches the Fibo area, the trade will become active.
Position 3: At the second box where a confirmed breakout of the Triangle has resulted, after the initial Fibo has been completed.
The above strategy is formed so that if I have miscounted the waves, I will be inside the trade, AFTER a breakout, or if I have counted the waves correctly, then the final part of the correction must be completed before a breakout occurs, and I'm assuming it will be a big one.
The risk to reward ratio, is quite small, considering that I'm 99% certain that we have a triangle forming and a SHORT setup for an impulse count is about to start.
------------------------------------------------------------------------------------------------------------------------------------------------------------
(Note that if the price point does not reach the boxed/fibo area, the trade will not be activated.)
I don't provide a signaling service or suggest you trade these trades with me, I'm just sharing my ideas and hope that people may benefit from these ideas in some way. I've added a checklist to the top of the chart as this is my way of keeping with my trading plan. Please remember the golden rule. 'When in doubt - stay out'.
Trade active:
Trade now active !
Trade closed: stop reached:
SL hit, trade closed. Bad count obviously. Will re-analyse and post again shortly.